Cushman & Wakefield  - commercial real estate in Germany

Case Study


Lego

In September 2002, Danish toy manufacturer Lego appointed C&W as its exclusive international retail real estate adviser to secure a network of flagship stores across Europe.


- Lego

In September 2002, Danish toy manufacturer Lego appointed C&W as its exclusive international retail real estate adviser to secure a network of flagship stores across Europe.

The Brief

Lego HQ shared with us their desire to become the world’s strongest brand among families with children by the year 2005. They wanted to establish a Lego concept that was an ‘integrated universe of experiences, merging play merchandise with apparel and accessories’. The initial target areas for store openings was the UK, the Netherlands and Germany, with potential for wider market coverage thereafter. We quickly got to grips with Lego’s brand values devised and implemented the location and acquisition strategy.

Solution

C&W mobilised a specialist cross border retail team, managed from London , but including local retail agency experts from the C&W network within the target countries.

Reporting structures were agreed and a private Lego intranet was established to contain site introductions, research and demographic reports, together with full details of potential properties, photographs, location plans and advice. Bespoke status reports and proforma assisted with succinct reporting and decision making by the client.

Conclusion

Within 10 weeks from the date of instruction, the first site was identified and agreed in Cologne, followed by two more in major German cities/shopping centres and in the UK, sites in Milton Keynes, Kingston Upon Thames, Birmingham Bull Ring and Bluewater Shopping Centre. This rapid delivery of sites for Lego’s brand retail initiative led the Company to significantly increase their representation in the USA, where 24 sites were opened over a 2 year period.

In 2009, C&W London were appointed as LEGO’s outsourced Real Estate function for worldwide retail matters outside the USA to support their growth strategy to have 150 stores by 2015. In 2010 C&W completed a Global Expansion Strategy covering 52 Countries, identifying and reporting on 135 Cities which best matched LEGO’s catchment criteria. In 2010, new stores opened in Cardiff, Westfield London and Copenhagen with other sites under consideration in the UK, Belgium and The Netherlands.




For more information contact:

Toby Comerford
+44 20 7152 5063
Toby.Comerford@eur.cushwake.com

Yvonne Court
+44 20 7152 5028
Yvonne.Court@eur.cushwake.com
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